Finance

The 10-year Treasury yield retreated slightly to 4.46% following a surge triggered by hawkish signals from the Federal Reserve. Despite the immediate relief in bond markets, updated quarterly projections reveal that half of the FOMC members now anticipate at least one interest rate increase before the end of 2026 to combat stubborn inflation.

Semiconductor and computer hardware companies, including Intel and Micron Technology, saw significant stock price increases during Thursday's session. This momentum is driven by continued enthusiasm for artificial intelligence infrastructure and the recent reconstitution of the Russell 1000 Growth Index, which added prominent tech and aerospace players like SpaceX.

Consumer spending remains robust as May retail sales grew 0.9% to reach $763.7 billion, more than doubling the initial consensus estimates of 0.4%. While elevated energy prices and inflation persist, the data highlights a resilient labor market that continues to support household demand across sectors like furniture and motor vehicles.